Paytm share price surges over 7% as government introduces 0.4% MDR on UPI payments to merchants

Paytm share price surges over 7% as government introduces 0.4% MDR on UPI payments to merchants


Shares of mobile payments pioneer Paytm are in action today, i.e. on September 16, 2026. The stock opened gap up at Rs 1,829.35, with a gain of Rs 98.25 or 5.68 per cent from the previous close of Rs 1,731.10 on the BSE. Amid a spurt in trading volume of more than 1.83 per cent, the stock gained to touch an intraday high of Rs 1,856.50, a gain of Rs 125.4 or 7.24 per cent. This is also its fresh 52-week high. The counter’s 52-week low is 947.10, touched on March 30, 2026. The stock’s move comes as the government introduced a 0.4 per cent fee on UPI payments of more than Rs 2,000 made to merchants from October 15, 2026.

Last seen, the stock held in the green at Rs 1,751.45, up Rs 20.35 (1.18 per cent), and the company’s market cap stood at Rs 1,12,153.05 crore.ย 

Paytm share price history

The stock is trading higher than the 5-day, 20-day, 50-day, 100-day and 200-day moving averages. According to BSE Analytics, the stock has delivered a return of 96.59 per cent in three years and 154.83 per cent in two years. On a year-to-date (YTD) basis, the stock has gained 34.51 per cent as against the dip of 12.84 per cent in the benchmark index.

Six years of fully free UPI payments

The introduction of Merchant Discount Rate (MDR) on large-value UPI transactions has ended nearly six years of fully free UPI payments. The government on Tuesday introduced a 0.4 per cent fee on transfers worth more than Rs 2,000 made to merchants through the platform from October 15, 2026.

“Customers will not be required to pay any charge when making such payments through UPI,” the finance ministry said in a statement quoting the National Payments Corporation of India circular issued on Tuesday.

UPI is operated by the National Payments Corporation of India (NPCI), an initiative of RBI and the Indian Banks’ Association.

Paytm Q1 results

The company reported another profitable quarter as its operating revenue stood at Rs 2,448 crore for Q1 FY27, up 28 per cent year-on-year. The company’sย profit after tax increased 79 per cent to Rs 220 crore, supported by growth across payments and financial services. Its EBITDA rose 182 per cent to a record Rs 203 crore.